Not in all cases it doesn't.
If the return on investment isn't there or if companies are unable to fulfil the demand then the market has failed. Recent example of this has been EVs where regulation needed to step in to force the market forward.
If there's no demand, there's no problem. Also there's no money to be made. If there's demand there will always be companies to supply that demand. Of course, it takes a time.
Politics shouldn't dictate to economy.
>Recent example of this has been EVs where regulation needed to step in to force the market forward
Then why should people be forced to use EVs instead of whatever they like? That is not freedom.
I want to walk around town without cameras tracking me. Can companies supply my demand?
I want PFAS and microplastics out of the evironment. Can companies supply my demand?
I want net-zero CO2 emissions in all the products I buy. Can companies supply my demand? How do I trust they are not green-washing? Do I depend on even more companies? How do I trust those companies?
Sure seems simpler to have the government enforce privacy and pollution laws.
> Politics shouldn't dictate to economy.
Which means you think William Wilberforce's most famous work was completely wrong.
> Then why should people be forced to use EVs instead of whatever they like?
You should consider how government-subsidized oil production and distribution has forced you to use fossil fuel cars instead of whatever you like.
You should consider even more how government-subsidized planning forces you to use a car in the first place, and often closed off alternative solutions like walking, bike, and mass transit.